Prawnsandwich
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How To Trade: Full Stop
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The Expert
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That will depend on YOU, not me.
Family, location, are you working, etc, etc, etc.
The only book that I have kept, and I had all of them, is the following.
Stock Patterns for Daytrading & Swingtrading by Barry Rudd
Now, this was written a good few years ago, but it will give you a very good insight into what daytrading is like, and you will see why.
However, even Barry did miss some of the very important things, but as you asked a specific question, it is the ONLY trading book that I will recommend to anyone, everything else out there is not worth the paper it is written on.
Do not read too much, just go for the key points, make a note of them, and then put the book away and start trading, for, what most newbies don't realize is, if you don't actually trade you will never make money:smart:
The Expert
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$1.00 per share
When you work out the password to my 52day range pdf you will see why I am laughing.
BTW, 20 cent on 100 shares is how much of a loss? :smart:
The problem I'm running into right now, I guess, is it is becoming hard to figure out which types and areas of trading will suit me best because everyone I ask replies the same way you just did, T E. 
It's not a bad thing; I'm a firm believer that it is soley up to me to make this work and learn on my own, but how does an ignorant person cure their own ignorance without outside sources?
On that note, if you could suggest 1 area to get started in (whether it's stocks, forex, whatever), for a complete newbie to get his feet wet, which would it be?
It's not a bad thing; I'm a firm believer that it is soley up to me to make this work and learn on my own, but how does an ignorant person cure their own ignorance without outside sources?On that note, if you could suggest 1 area to get started in (whether it's stocks, forex, whatever), for a complete newbie to get his feet wet, which would it be?
Prawnsandwich
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No - your stop loss should be set at a level where if price breaks that particular level then your your basis for entry into the trade has been proven incorrect and you need to get out.....this level depends on what your trading method is, but you would generally try to keep it under 5% of the trade...
As a very simplistic example for demonstration purposes only - if you are trend following, and you entry is based on a retracement to a Moving average then your stop could be placed under the Moving average...
Using money management / position sizing (look it up - its probably one of the most critical aspects of trading), your stop position will determine your trade size....
The Expert
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Scalpers watch the red band on the Lev II screen for stops. This can be a tight as 4 cent or even less!
Depending on the stock, and when we say stock we really mean high liquid good priced stocks with heavy institutional trading, a 20 cent stop is way too much if you know what you are doing.
I have been generous with my levels, and when you get good I will be telling you to tighten up, but for newbies you will need 20 cent, and some of you will prob need a good bit more, for odds are you will get it wrong many times at the start, trying to buy breakouts and sell breakdowns.
Prawnsandwich
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$1.00 per share
When you work out the password to my 52day range pdf you will see why I am laughing.
BTW, 20 cent on 100 shares is how much of a loss? :smart:
Some of the best day trade opportunities are around this price level...
OK if price is ..say $ 600 per share..then 20 cents represents a stop loss of 0.03% ....you'd need to be fairly precise with you entry....
The point is that you cant just assign an arbitrary money value to a stop loss....
Does'nt matter how much the loss is , even if its small, the point is that its not being done correctly....the objective is to trade correctly notwitstanding size
The Expert
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What have I told you about RTA
Now, as was said to me when I joined this site, go and start your own thread, but I will not delete your posts, as I do not believe in hiding any information from anyone, as this is as bad as telling lies.
The Expert
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Please, do not continue as you are, even though you are not aware, you are making a fool out of yourself.
REMEMBER, you are dealing with The Expert here, I know what works and what does not work, and everything you are rambling on about just does not work, it is all textbook RTA which is pure rubbish, and that is back in the other thread if you guys want to go back there and pick up.
To others, I have mentioned many times that idiots posting will do nothing but cost you money, and I mean it 100%, so, just remember when you are counting your losses what The Expert told you:whistling
The Expert
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If you missed the start then you are at a disadvantage, but I might consider some more hints tomorrow if no one gets it by then?
Prawnsandwich
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Ha ha ha you crack me up buddy!!!
The Expert
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DJ, I try to be polite at all times, but it is very hard when you see who I have to deal with.
All I will say is, this is not for beginners who have not done their homework, so maybe some time in the basics section might serve you well.
Do not take offense now, I just speak the truth and say it as it is, and do what must be done at all times.
The Expert
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You are right, in that you are wrong. Did you not read any of my posts or are you just trying to take the **** out of me?
The Expert
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Newsflash
Most daytraders think that buying the breakout of the PDH and selling the breakdown of the PDL is how to trade best. Little do they know!
When you know something that everyone else knows, what does that make you?
When you know something that very few others know, what does that make you?
Who knows best, the majority or the few?
Most daytraders think that buying the breakout of the PDH and selling the breakdown of the PDL is how to trade best. Little do they know!
When you know something that everyone else knows, what does that make you?
When you know something that very few others know, what does that make you?
Who knows best, the majority or the few?
Prawnsandwich
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It just gets funnier.....
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